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What Is Vietnam’s NDAChain?

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Vietnam's NDAChain is a national Layer 1 blockchain for digital IDs, data verification, and supply chain traceability. Learn how it works and why it matters.

Soumen Datta

July 28, 2025

Vietnam’s NDAChain is a government-backed, permissioned Layer 1 blockchain launched in July 2025. It was built by the National Data Association (NDA) and is operated by the Ministry of Public Security. Its core purpose is to verify digital records and secure identity systems across sectors, forming a national infrastructure for trusted data.

Designed to improve the country’s digital governance, NDAChain enables decentralized identity management, product traceability, and secure data sharing. It addresses long-standing weaknesses in centralized systems, such as data breaches, lack of transparency, and limited global interoperability.

Unlike public blockchains like Ethereum or Bitcoin, NDAChain uses a Proof-of-Authority (PoA) consensus model. That means transactions are validated by a known set of institutional nodes instead of anonymous miners.

How NDAChain Works

NDAChain is a permissioned Layer 1 blockchain, meaning access and participation are restricted to verified entities. Its validator network includes 49 nodes, operated by public institutions and major private companies such as:

  • Zalo (a Vietnamese messaging app)
  • MISA (accounting and ERP software provider)
  • SunGroup, Masan, Sovico, VNVC, and more

Each node maintains a copy of the distributed ledger and runs smart contracts and identity verification modules.

The system is optimized for high throughput and privacy:

  • Transaction Speed: 1,200 to 3,600 transactions per second (TPS)
  • Latency: Sub-second confirmations
  • Security: Uses Zero-Knowledge Proofs (ZKP) to enhance privacy without sacrificing trust

These features make NDAChain suitable for digital government applications, enterprise-grade verification, and real-time product tracking.

Core Features of NDAChain

NDAChain serves as a digital trust layer for the Vietnamese government and its citizens. Its design supports several integrated systems:

Digital Identity (NDA DID + NDAKey)

  • NDA DID is a decentralized identity system linked to Vietnam’s national ID (VNeID).
  • NDAKey is a mobile app that allows citizens to verify their identity quickly and securely to access services like healthcare, education, and tax filing.

Product Authentication and Traceability (NDATrace)

  • NDATrace issues each product a unique digital identifier.
  • Built on GS1 standardsW3C DID, and EU EBSI guidelines.
  • Enables end-to-end visibility in supply chains—critical for exports and compliance.

Privacy and Governance

  • Data usage is governed under principles aligned with GDPR.
  • Managed through a multi-institutional council of node operators.

This system reduces fraud, increases efficiency, and lays the groundwork for a verified national data ecosystem.

Why Vietnam Built a National Blockchain

Vietnam, with a population of over 100 million, is undergoing rapid digital transformation. As data volumes grow, the government has prioritized a secure and scalable way to manage sensitive information.

Key Challenges Addressed:

  • Cybersecurity threats: Centralized databases are easier to attack or tamper with.
  • Scalability: Traditional IT systems struggle with cross-sector and high-frequency data.
  • Data sovereignty: Ensuring that Vietnamese data is managed under domestic control.

Blockchain’s ability to maintain immutabilitytransparency, and traceability makes it a suitable tool for managing national-scale data infrastructures.

Real-World Use Cases

1. Digital Government Services

Citizens can log in to e-Government platforms using NDA DID + NDAKey, cutting down on paperwork and identity fraud.

2. Supply Chain Transparency

NDATrace gives Vietnamese businesses tools to prove product origin and quality to overseas markets—important for food, agriculture, and manufacturing.

3. Cross-border Compliance

With support for global standards (e.g., GS1, EBSI), NDAChain helps Vietnamese enterprises meet international regulations.

Roadmap: What’s Next for NDAChain?

By late 2025, NDAChain will be fully integrated into the National Data Center, acting as the country’s foundational digital trust layer. The next phase (2026) includes:

  • Expansion to provincial governments and universities
  • Talent development in blockchain engineering and governance
  • Layer 2 solutions customized for industries like logistics, banking, and healthcare
  • International partnerships to ensure cross-border interoperability

NDAChain is expected to become a long-term component of Vietnam’s digital infrastructure—not just a standalone blockchain, but a foundation for scalable, secure, and compliant services.

FAQs About NDAChain

What is NDAChain?

NDAChain is Vietnam’s official government blockchain, designed to verify digital identity, secure national data, and trace products across supply chains.

Who operates NDAChain?

NDAChain is run by 49 validator nodes, including government agencies and private firms like Zalo, MISA, and SunGroup, under the Ministry of Public Security.

How is NDAChain different from public blockchains?

Unlike public blockchains, NDAChain uses Proof-of-Authority for validation, has restricted access, and is designed for verified institutions rather than anonymous users.

Conclusion

NDAChain is Vietnam’s state-backed blockchain built for national use. It provides a secure and verifiable infrastructure for identity management, supply chain tracking, and e-Government services. By using a permissioned Proof-of-Authority model and privacy-preserving tools like Zero-Knowledge Proofs, it offers a scalable and trustworthy foundation for Vietnam’s growing digital ecosystem.

As it integrates with the National Data Center and expands across regions and sectors, NDAChain represents a structured approach to public-sector blockchain adoption—focusing on interoperability, security, and verifiable trust.

Resources:

  1. NDA Chain Announcement: https://www.prnewswire.com/news-releases/vietnam-launches-ndachain-the-national-blockchain-platform-to-accelerate-digital-data-infrastructure-by-2026-302513864.html

  2. Vietnam population hits 100 million: https://gfmag.com/news/vietnam-population-hits-100-million/

  3. Proof of Authority Consensus Model: https://www.sciencedirect.com/topics/computer-science/proof-of-authority

Disclaimer

Disclaimer: The views expressed in this article do not necessarily represent the views of BSCN. The information provided in this article is for educational and entertainment purposes only and should not be construed as investment advice, or advice of any kind. BSCN assumes no responsibility for any investment decisions made based on the information provided in this article. If you believe that the article should be amended, please reach out to the BSCN team by emailing [email protected].

Author

Soumen Datta

Soumen has been a crypto researcher since 2020 and holds a master’s in Physics. His writing and research has been published by publications such as CryptoSlate and DailyCoin, as well as BSCN. His areas of focus include Bitcoin, DeFi, and high-potential altcoins like Ethereum, Solana, XRP, and Chainlink. He combines analytical depth with journalistic clarity to deliver insights for both newcomers and seasoned crypto readers.

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